Tennessee § 8-3950 - Operators of contractor-owned school buses — Funding.

§ 8-3950. Operators of contractor-owned school buses — Funding.

Notwithstanding any provision of the law to the contrary, operators of contractor owned pupil transportation equipment in any county school system are authorized to participate in the state consolidated retirement system under such conditions as may be jointly agreed upon by the duly authorized officials within the state consolidated retirement system and the board of education in said county school system. Accruing retirement benefits shall be determined on the basis of employer contractor contributions based on a sum allowed for salary purposes that is not to exceed forty per cent (40%) of the monthly contract remuneration received by the contractor from said board of education. Any county board of education who authorizes operators of contractor owned pupil transportation equipment to participate in the retirement system under the provisions of this chapter shall be required to have the chief legislative body of the political subdivision to approve and appropriate all expenditures required including the cost of the actuarial study, the current and prior service cost, the administrative cost and the school boards pro rata share of the cost-of-living. Prior to any action by the legislative body, the cost and all other pertinent information shall be obtained from the division of retirement which shall be made available to all membership of the legislative body. It is further provided that no funds received by the local board of education or the political subdivision including funds from the minimum foundation program nor the revenue sharing program shall be used in funding the cost required in bringing these independent contractors into the consolidated retirement system. Acts 1974 (Adj. S.), ch. 451, §§ 1, 2. Compiler's Notes. This section was repealed by Acts 1976 (Adj. S.), ch. 813, § 2 which provided: “The existing assets and liabilities attributable to members participating under said section shall be transferred to a separate trust. Said trust shall be administered and managed by the state treasurer and board of trustees under the same terms, conditions, and responsibilities applicable to funds and members of the Tennessee consolidated system. The employer and employees may by agreement elect to withdraw from such trust and distribute any funds according to § 8-35-211(c)(1) .” For present law see chapters 34-37 and 39 of title 8.